Logistics Issues for Western Companies Operating in China - Literature Review

Exposé Écrit pour un Séminaire / Cours , 1998 , 16 Pages , Note: 1.2

Gestion d'entreprise - Achats, Production, Logistique

Despite the heavy commitment of the central government impediments exist for foreign companies to successfully exploit business opportunities in China. Two major studies(Kawahara et al 1995, Carter et al 1997) suggest the most important barriers to business
operations concern the supply chain and distribution, particularly transportation. The various logistics functions form major obstacles (Peng 1995, 680). Although this paper focuses on supply chain issues also value chain issues will be touched, as many of the outbound business functions are perceived as shared responsibility of marketing and logistics(Murphy et al 1992, 14).

Inhaltsverzeichnis

• Introduction
• Barriers in logistics and their implications for foreign companies
  • Transport Infrastructure
  • Transport Services
  • Purchasing
  • Order Processing/ Documentation
  • Unitisation
  • Warehousing and Inventories
  • Distribution
• Underlying key-issues of the logistics dysfunctionalities
  • Cultural differences
  • Political and administrative influences
  • Management practice
  • Capital constraint
• Strategic solutions applied by foreign companies
  • Using local distribution and shipping service providers
  • Establishing joint-ventures
  • International providers
  • Creating their own system
• Conclusions
• References

Zielsetzung und Themenschwerpunkte

This literature review examines the logistics challenges faced by Western companies operating in China. It explores the barriers to efficient supply chain management, including infrastructure limitations, transportation services, purchasing difficulties, and cultural differences. The review also investigates strategic solutions adopted by foreign companies to overcome these obstacles.

• Transportation infrastructure limitations in China
• Challenges in accessing reliable and efficient transportation services
• Difficulties in sourcing high-quality products and materials locally
• Cultural differences impacting logistics operations
• Strategic solutions employed by Western companies to address logistics issues

Zusammenfassung der Kapitel

The introduction highlights the significant presence of Western companies in China, driven by the country's vast resources and consumer market. However, it emphasizes the challenges faced by these companies, particularly in the areas of supply chain and distribution, especially transportation.

The chapter on barriers in logistics details the specific challenges faced by foreign companies in China. It examines the limitations of transportation infrastructure, including railways, roads, waterways, and airports. The chapter also explores the shortcomings of transportation services, such as poor customer service, unreliable scheduling, and limited availability of specialized services. Additionally, it discusses the difficulties in purchasing locally sourced products due to quality issues, unreliable supply, and inconsistent order fulfillment.

The chapter on underlying key-issues of the logistics dysfunctionalities delves into the root causes of these challenges. It examines the impact of cultural differences, political and administrative influences, management practices, and capital constraints on logistics operations in China.

The chapter on strategic solutions applied by foreign companies explores the various approaches adopted by Western companies to overcome these challenges. It examines the use of local distribution and shipping service providers, the establishment of joint ventures, the engagement of international providers, and the creation of their own logistics systems.

Schlüsselwörter

The key words and focus themes of the text include logistics challenges, transportation infrastructure, transportation services, purchasing difficulties, cultural differences, strategic solutions, Western companies, China, supply chain management, distribution, and joint ventures.

• Université: The University of Sydney
• Note: 1.2
• Auteur: Paul Freudensprung (Auteur)
• Année de publication: 1998
• Pages: 16
• N° de catalogue: V186329
• ISBN (ebook): 9783869437712
• ISBN (Livre): 9783656993407
• Langue: anglais
• mots-clé: logistics, issues, western, companies, operating, china, literature, review